MIRA
INFORM REPORT
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Report Date : |
04.10.2007 |
IDENTIFICATION DETAILS
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Name : |
NATIONAL BRANDS LTD |
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Registered Office : |
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Country : |
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Date of Incorporation : |
30 April 1948 |
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Com. Reg. No.: |
1948/029389/06 |
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Legal Form : |
Limited Liability Company |
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Line of Business : |
The manufacture, marketing and distributing of fast moving branded consumer goods |
RATING & COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
COMPANY NAME
NATIONAL BRANDS LTD
Formerly
AVBAK FOOD HOLDINGS LTD, the name having been changed during 1990.
TRADING DIVISIONS
SNACK WORX
BISCUITS
SNACKS
ENTYCE BEVERAGES
TEA
COFFEE
PHYSICAL ADDRESS
BRYANSTON
Sandton
POSTAL ADDRESS
RIVONIA
2128
TELEPHONE NUMBER: 011 707 7000
FAX NUMBER: 011 707 7799
The factory premises of the subject are situated at
It was stated that the NATIONAL INGREDIENT SUPPLIES division was sold to management on 1 October 2002.
It was stated that the YARDLEY OF LONDON division (formerly COSMETICS & TOILETRIES, the name having been changed on 1 July 1999), is reported to have been taken over by INDIGO COSMETICS (PTY) LTD as of 1 July 2003.
It was stated that the subject sold the PAKCO division in 1999.
SHAREHOLDERS
100% AVI LTD (formerly ANGLOVAAL INDUSTRIES LTD) (Reg No. 1944/017201/06) (Quoted on the JSE LTD)
ASSOCIATE COMPANIES
IRVIN & JOHNSON LTD – registration certificate number: 1952/001693/06.
Plus other companies within the AVI group of companies.
Subsidiary companies:
NATIONAL BRANDS DISTRIBUTORS (PTY) LTD – registration certificate number: 1962/003926/07 – (dormant)
NATIONAL BRANDS MANAGEMENT SERVICES (PTY) LTD – registration certificate number: 1948/031953/07 – (dormant)
NEDAN OIL MILLS (PTY) LTD – sold to management in October 2002.
NATIONAL PROTEIN (PTY) LTD - deregistered
CEREBOS LTD (formerly NATIONAL SALT LTD), which was sold to management in October 2002.
PYOTTS (PTY) LTD (dormant) - deregistered
BAUMANNS BISCUITS (PTY) LTD (dormant) - deregistered
BAKERS LTD (dormant)
T W BECKETT & CO LTD (dormant)
P F L INVESTMENTS LTD (dormant)
NBL BOTSWANA (PTY) LTD (registered in
SKREBA PROPERTIES (PTY) LTD registration certificate number: 1956/000833/07, which is reported to be a property owning company.
Respondents stated that there are other dormant subsidiaries within the group, the names of which were not forthcoming.
DIRECTORS
O P CRESSEY (Divisional Managing Director)
MS .L MBONGWE
S L CRUTCHLEY (Chairman)
K R PHILLIPS
BANKERS
STANDARD BANK, Corporate Branch Rivonia. It was stated that the subject is managed by a cash management scheme controlled by the treasury department of AVI LTD.
DATE REGISTERED
30 April 1948
Registration Certificate Number: 1948/029389/06
VAT NUMBER
4310107208
MAJOR OPERATION
The manufacture, marketing and distributing of fast moving branded consumer goods
MAJOR SUPPLIERS
Deemed not necessary by respondents at the company in view of the standing of the subject.
MAJOR CUSTOMERS OR
BUSINESS SECTORS
Large chain stores, wholesalers, retailers, supermarkets e.g. Pick n Pay, Metro, Makro, Shoprite Checkers, etc.
AREA OF
DISTRIBUTION AND SELLING
EXPORTS
African countries and the
TOTAL EMPLOYEES
2 000 employees
OTHER PREMISES
The subject is reported to have 10 sales offices, depots, approximately 5 factories and 2 warehouses countrywide.
OWNED OR LEASED
The head office premises are owned by SKREBA PROPERTIES (PTY) LTD with a market value in the region of R27 million. It was stated that there is an arrangement with INVESTEC Bank over a period of 10 years.
It was stated that the subject owns some of the factory premises, while SKREBA PROPERTIES (PTY) LTD owns others. It was stated that the sales depots are leased.
AUTHORISED SHARE
CAPITAL
R4 million divided into 4 million ordinary shares of R1 each
ISSUED SHARE
CAPITAL
R3 509 474
Full financial information was not forthcoming from respondents at the subject and outside authorities were unable to assist in this regard. Previously reported turnover figures were in excess of R6 billion.
AUDITORS
KPMG INC
YEAR END
JUNE
INSURANCE BROKERS
ALEXANDER FORBES
TRADE REFERENCES
NOT APPLICABLE
COMMENTS
This is an established and well connected company. In view of its standing, the subject is considered equal to its normal business engagements.
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit consideration.
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
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11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)